Pages

Monday, 18 June 2012

2012.06.18 05:43:34 Indian Rupee Rises to One-Week High Against Dollar as Risk Mood Improves

By Khushita Vasant

MUMBAI--The Indian rupee Monday rose to its highest level in a week
against the U.S. dollar with the victory of a pro-bailout party in
Greece elections improving risk sentiment across the region.

The dollar was at 55.27 rupees at 0335 GMT, a level not seen since
June 11 when it touched INR55.08. The greenback was at INR55.39 late
Friday in Asia.

The pair traded in a 55.27-55.39 band Monday.

Currencies and stocks in Asia rallied after Greece elected the
pro-bailout New Democracy party, which eliminated fears of the
country's exit from the euro currency bloc for the time being.

Traders say the rupee's upside may be short-lived as the focus is on
the Reserve Bank of India's rate-setting meeting later in the day.

Eleven of 16 economists polled by Dow Jones Newswires expect the RBI
to lower its key rate to 7.75% from 8.0%.


Write to Khushita Vasant at khushita.vasant@dowjones.com


(END) Dow Jones Newswires

June 17, 2012 23:43 ET (03:43 GMT)

No comments:

Post a Comment